Exciting news for car buyers. A new tax benefit can save you a lot of money when financing your next vehicle purchase at Giles Volvo Cars Lafayette in Lafayette, LA. Starting in 2025, qualifying vehicle purchases are eligible for a significant tax deduction on car loan interest, making it an ideal time to consider upgrading your current ride. It's part of the One Big Beautiful Bill passed by Congress in 2025.
Tax Deduction Available from 2025 Through 2028
Effective for tax years 2025 through 2028, you can deduct interest paid on a loan to buy a qualified vehicle up to a maximum deduction of $10,000. This substantial tax benefit represents a meaningful opportunity for car buyers to reduce their overall tax liability while driving the vehicle they want. Whether you're looking for a family sedan or an SUV, this deduction can help make your purchase more affordable.
Which Vehicles Qualify for the Tax Deduction?
To take advantage of this tax benefit, your vehicle purchase must meet specific criteria. Eligible vehicles are new only, for personal use, and must have a gross vehicle weight rating of less than 14,000 pounds. In addition, qualifying vehicles must have been assembled in the USA. This emphasis on American-made vehicles supports domestic manufacturing while providing tax benefits to consumers who choose these models.
Eligible Volvo Vehicles Built in the United States
Volvo has invested in American manufacturing, and two exceptional models qualify for this tax deduction. Eligible Volvo vehicles built in the United States include the S60 Sedan and the EX90 electric SUV. The S60 offers handsome styling and advanced safety features, while the EX90 offers cutting-edge technology and electric driving. The popular XC60 should also qualify when production moves to a plant in South Carolina in late 2026.
Visit Our Dealership and Schedule Your Test Drive
Ready to explore your options? Our dealership is here to help you take advantage of this exciting tax benefit. Our knowledgeable team can guide you through the qualifying vehicles in our inventory and explain how this deduction might apply to your situation. Schedule a test drive today to experience these American-built Volvo models firsthand.
Ask About Details
Don't miss out on this limited-time tax benefit. Contact our dealership to learn more about the qualifying Volvo vehicles and how the car loan interest deduction works. Our finance specialists can provide detailed information about this program and help you calculate potential tax savings.
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